CCT has been renewing leases way ahead of expiry. It has signed new or renewed leases for 335,800sf of space with rentals, on a weighted average basis, increasing 49% compared to previously signed rents. 89% of forecast rental income for 2009 is lock-in under committed leases.
Current average monthly office rent is low at S$7.73psf, slightly higher than S$7.44psf in 4Q08. Committed occupancy on a portfolio basis is 97.7% in Apr 09, compared to 96.2% at Dec 08. The improvement could have came from newly completed Wilkie Edge at Selegie Road.
The average lease term to expiry for its top-10 tenants is 6.4 years. They accounts for about 50% of gross rental income and provide some defensive shelter.
CCT has obtained a commitment letter from a bank for a three-year secured term loan of up to S$160m to refinance the remaining outstanding debt maturing this year. This is secured against HSBC Building with all-in margin for the term loan at 3.0%.
Sponsored Links
1 comment:
Very useful post on capita commercial trust.Rentals will rise once stock market improves.
Post a Comment